Modern Developments

In World War II a number of aviation plants were established in Texas and a petrochemical industry developed. Industrialization of the state increased rapidly in the postwar period. Extensive water-conservation projects provided irrigation on a vast scale and for greater urban populations and the demands of industry. In 1962 the federal government's manned space center was established in Houston. In November, 1963, President John F. Kennedy was assassinated while in Dallas, and Vice President Lyndon B. Johnson succeeded to the Presidency. Johnson was the first Texan to become President.

During the 1970's, the state underwent rapid population growth and urbanization. Expansion of the oil and gas industries spurred economic development. In the 1980's drought, falling oil prices, and widespread failures of savings and loan institutions precipitated an economic downturn. This was the first interruption of economic growth in Texas since the Great Depression a half century earlier.

The economy improved greatly in the 1990's due in part to a reduced reliance on the oil industry. Thousands of jobs were created in the high technology sector. George W. Bush, son of the former president, was elected governor in 1994 and 1998. Bush resigned his position as governor to accept the post of U.S. president in 2000, and lieutenant governor Rick Perry replaced him.